Tuesday, September 06, 2005

Stocks Finish at Session Highs as Energy Prices Continue to Fall

Indices
S&P 500 1,233.39 +1.26%
DJIA 10,589.24 +1.36%
NASDAQ 2,166.86 +1.20%
Russell 2000 674.48 +1.68%
DJ Wilshire 5000 12,325.89 +1.25%
S&P Barra Growth 590.63 +1.43%
S&P Barra Value 638.42 +1.10%
Morgan Stanley Consumer 590.37 +1.32%
Morgan Stanley Cyclical 743.04 +.73%
Morgan Stanley Technology 500.52 +1.23%
Transports 3,689.01 +1.0%
Utilities 419.75 +1.33%
Put/Call .90 -20.35%
NYSE Arms .58 -51.19%
Volatility(VIX) 12.93 -4.72%
ISE Sentiment 113.00 -40.53%
US Dollar 86.72 +.53%
CRB 329.36 -.60%

Futures Spot Prices
Crude Oil 65.51 -3.05%
Unleaded Gasoline 202.00 -7.50%
Natural Gas 11.61 -.69%
Heating Oil 205.43 -1.76%
Gold 447.70 -.02%
Base Metals 130.71 -.91%
Copper 166.00 -.81%
10-year US Treasury Yield 4.09 +1.66%

Leading Sectors
Retail +2.44%
REITs +2.32%
Restaurants +1.96%

Lagging Sectors
Commodity +.41%
Oil Tankers -.31%
Gold & Silver -.52%

Evening Review
Detailed Market Summary
Market Gauges
Daily ETF Performance
Style Performance
Market Wrap CNBC Video(bottom right)
S&P 500 Gallery View
Economic Calendar
Timely Economic Charts
GuruFocus.com
PM Market Call
After-hours Movers
Real-time/After-hours Stock Quote
In Play

Afternoon Recommendations
Goldman Sachs:
- None of note.

Afternoon/Evening Headlines
Bloomberg:
- Former Fed Bank of Dallas President Robert McTeer told CNBC he sees “no need” for the FOMC to raise interest rates at its Sept. 20 meeting in the aftermath of Hurricane Katrina.
- Iraqi President Jalal Talabani said the nation’s former dictator Saddam Hussein confessed to ordering the murder of thousands of Kurds in the 1980s.
- Northwest Airlines sued its mechanics union over striking members’ efforts to block buses carrying replacement workers.
- Crude oil and gasoline fell for a third session in NY on expectations the release of emergency fuel reserves will ease shortages after Katrina cut US oil production and shut refineries.
- President Bush will ask Congress for at least $40 billion more in emergency spending to help pay for the recovery from Katrina.
BOTTOM LINE: The Portfolio finished higher today on gains in my Semiconductor, Computer and Medical Information System longs. I exited my remaining IWM and QQQQ shorts in the afternoon, thus leaving the Portfolio 75% net long. The tone of the market was positive today as the advance/decline line finished higher, almost every sector was higher and volume was below average. Measures of investor anxiety were mostly lower into the close. Overall, today’s market action was very positive given the concerns over economic growth and the Fed. It is a big positive that stocks rose so strongly today with sectors other than energy providing leadership.

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